- XRP/USD on a bearish mode amid a stronger dollar
- District Court Judge Sarah Netburn denied the SEC’s declaration.
- Double bottom ready to breakout, sell-stop at $0.5720
The XRP/USD closed at $0.58643 after placing a high of $0.60154 and a low of $0.57354. XRP/USD continued its bearish momentum for the 7th consecutive session. It remained flat around the $0.58 level. Ripple price forecast remains bearish, as it’s looking to break below $0.5725.
District Court Judge Sarah Netburn Denied SEC’s Declaration
The San-Francisco-based fintech company Ripple secured another small victory in its ongoing lawsuit. The lawsuit is with the U.S. Securities and Exchange Commission. The U.S. District Court Judge Sarah Netburn denied the SEC’s declaration. A former regulatory official SEC Director of Corporation Finance William Hinman can be questioned.
Previously the SEC sought to block Ripple from having Hinman questioned. It’s because the company did not have the exceptional circumstances necessary to involve the former Director.
In June 2018, the former Director had said in a speech that current offers and sales of Ether were not securities transactions. That’s based on his understanding of the Ethereum Network and its decentralized structure.
Now that he can be questioned in the lawsuit where SEC accused Ripple of illegal selling of XRP worth $1.3 billion as securities. The lawsuit might turn into the favor of Ripple’s claim that the XRP token was not a security.
If there will be no appeal from SEC, then Ripple can ask Hinman to testify about the thought behind his decision on Ether at the time and then attempt to apply the same rationale to XRP.
Ripple has repeatedly argued that SEC cannot regulate XRP as a security as it is used as a medium of exchange for domestic and international transactions.
On the other hand, the SEC has previously said that it does not speak through its staff or individual commissioners but only through enforcement actions which means anything Hinman has said cannot be used as the saying from SEC.
Despite these developments in the lawsuit between SEC and Ripple, the XRP token remained flat throughout the weekend and showed minimal movement that might be derived from the strength of the U.S. dollar. The greenback was bullish across the board amid positive macroeconomic figures and kept XRP/USD under pressure over the weekend.
Ripple Price Forecast: Ripple to Violate Double Bottom at $0.5725
Support Resistance
0.57280 0.60080
0.55917 0.61517
0.54480 0.62880
Pivot Point: 0.58717
Ripple Price Forecast – Technical Outlook: Focus on $0.1684 Support
Like other crypto pairs, the Ripple price forecast is strongly bearish. The XRP/USD is looking to break below a triple bottom support level of 0.5725 level. Closing of candles below 0.5725 level, the XRP/USD pair may plunge dramatically towards the next support level of 0.5606 level.
On the 2-hourly chart, the XRP/USD has closed a bearish engulfing candle at 0.5875. That bearish engulfing is followed by another bearish engulfing candle at 0.57253.
We can also see a descending triangle pattern supporting Ripple at 0.5725, along with resistance at 0.5875. If the XRP/USD fails to break below the 0.5725 level, we may see its price surging towards the 0.5875 level.
The technical tools like Stochastic and 50 M.A. (Moving Average – Red Line) are suggesting selling trends in Ripple. The current market price of XRP is at 0.5725, right below the 50 M.A. resistance level of 0.5795. While the Stochastic is at 30, demonstrating a selling trend.
The XRP/USD price forecast remains bearish today. Therefore, the forex trading participants may look for a sell stop at 0.5725 to target the 0.5600 level. All the best.
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